Income Tax Deadline… What are you waiting for?

October 31st 2010 is the deadline for the self employed, Directors and people declaring other forms of income outside of PAYE, for example, Investment rental properties!

The reason why I’m writing this article is as follows, I have been a practicing accountant for over eight years and every year I am baffled by the amount of people that come to me in a panic on or around the 31st Oct, needing to complete their tax returns from the previous year. Yes, you read correctly, from the previous year!

This means that the 31st Oct 2010 is the deadline for all worldwide incomes to be declared to the Revenue Commissioners for the year ending 31st December 2009. Therefore, you have ten months to get your act together.

Then why, I hear you ask do people wait until the last minute?? Possibly tax planning? We’ll deal with this in another article but other than this scenario, there really is no point in hanging around waiting on the 31st Oct to come. If anything can be said, it would be prudent to meet with your accountant or tax adviser and complete your tax return so you know exactly where you stand. You won’t have to pay the balance over until the 31st Oct but at least you’ll know how much you have to pay and if you are short of a few shillings then you’ll have time to plan and decide how you are going to pay the balance.

Moral of the story – don’t leave it until the last minute!

In summary, it’s simple:

  • 31st Oct 2010 – deadline for the 2009 period.
  • 31st Oct 2010 – deadling for preliminary tax payment for 2010.
  • See your tax advisor / accountant now.
  • Know your liability (if any) now.
  • Budget towards final payment on the 31st Oct 2010.